Conventional liquid dispensing systems, such as used for dispensing gasoline, utilize a nozzle at the delivery end of a product hose. The nozzle is typically equipped with a direct acting, mechanically actuated nozzle valve. Such a valve makes the nozzle large and bulky, and the actuation force of the nozzle high. Also, with the control valve in the nozzle, the product hose is necessarily exposed to full system fluid pressures requiring the hose to have a substantially stiff and thick wall in order to prevent rupture of the hose and excessive dilation. To attain higher flow rates, the hose size and/or the fluid pressure must be increased, requiring thicker walled hoses having decreased flexibility, as a result. Lastly, electronically based conventional systems typically lack feedback signalling to the microprocessor or controller indicative of the nozzle actuator position, for providing diagnostic and control functions.